You are using an older browser version. Please use a supported version for the best MSN experience.

5.7% GDP growth in Q1 matter of concern: Arun Jaitley

LiveMint logoLiveMint 31-08-2017 PTI

New Delhi: Finance minister Arun Jaitley on Thursday said that India GDP growth rate at 5.7% in Q1 is a matter of concern.

“Manufacturing bottomed out in Q1, but services improved,” said the finance minister at a press conference after the GDP growth data for Q1 was declared. Gross fixed capital formulation turned positive, he added.

India’s economic growth decelerated to 5.7% in the first quarter of 2017-18 against 6.1% in the preceding quarter on the back of destocking activities undertaken by the manufacturers ahead of Goods and Services Tax (GST) implementation.

Manufacturing clearly impacted by uncertainty surrounding GST dipped to 1.2% from 5.3% in the previous quarter. However, construction activities revived marginally from the negative print (-3.7%) in the March quarter to 2% in June quarter. Trade, hotel transportation impacted by demonetization in the March quarter (6.5%) revived to grow in double digit 11.1%.

More From LiveMint

image beaconimage beaconimage beacon